The number of commercial cars and trucks in the U.S. increased to 1.9 million in 2018 from 1.8 million the previous year. Companies all throughout the country are using these vehicles for various reasons, depending on their type of business.
Generally speaking, company vehicles are used for delivering goods, staff transportation, or for leasing services. Some vehicles are also used as food trucks and other in-demand mobile businesses. But purchasing a new car for your company is very different from buying a vehicle for personal use. There are a lot of things to consider when shopping for your business car, including these important factors.
To Buy, Rent, Or Lease?
When planning on acquiring a vehicle for your company, you must first decide if you are willing to take on the responsibility of buying a new or used vehicle. You also have the option of renting or leasing a car depending on how you plan to use it. If you will buy a new or used car, you will be able to include it in your tax declaration for tax breaks.
You can also assess the overall savings when renting or leasing a car, especially if you will use it as a back-up option for your existing vehicle fleet. Renting can be a cost-saving option if you want to have the most recent models without spending too much. On the other hand, leasing could be a good idea if you want to avoid regular maintenance costs and enjoy tax benefits for both partial and full business use.
Vehicle Make And Model
Depending on the type of business that you do, choosing the right vehicle make and model for your company car is very important to maximize its use. You need to consider the types and volume of items that you plan to transport using the car. If you will always use it to carry heavy equipment, then getting a sedan could be a bad idea.
You should also consider how you can maximize its fuel economy. Also, you must think about the usual routes that that car will cover regularly. If you or your staff will spend more time in the rough roads, then you must think of getting a truck or other heavy-duty vehicles. But if it will only be used for city driving, a compact car could be enough for your business.
Maintenance And Repair Expenses
While shopping around for a vehicle that you plan to include in your company’s fleet, you must also think about the additional expenses that it could require from your business. Regular maintenance is needed to make sure that the car will last for a long time, while the repair can be inevitable especially if the vehicle will be used all the time.
If you want to spend less on these items, you can buy the latest vehicle models for your company. These may be an expensive option at the start, but calculating the regular costs of maintaining a pre-owned car can be more practical.
Companies buy business vehicles for different reasons. This is why it is very important to assess your specific needs before you make a decision when acquiring a new car for the company. Always think about the advantages of getting a certain model and analyze if that vehicle will allow you to maximize all of its functions.